MBIA Inc.

Good morning and welcome to the MBIA fourth quarter and full year 2022 financial results conference call. I would now like to turn the call over to Greg Diamond, Managing Director of Investor and Media Relations at MBIA. Please go ahead, sir.

Thank you, Todd. Welcome to MBIA's conference call. After the market closed yesterday, we issued and posted several items to our websites, including our financial results, 10K, quarterly operating supplement, and statutory financial statements for both MBIA Insurance Corporation and National Public Finance Guarantee Corporation. Regarding today's call, please note that anything said on the call is qualified by the information provided in the company's 10-K and other SEC filings, as our company's definitive disclosures are incorporated in those documents. We urge investors to read our 10-K as it contains our most current disclosures about the company and its financial and operating results. 10K also contains information that may not be addressed on today's call. The definitions and reconciliations of the non-GAAP terms included in our remarks today are also included in our 10K, as well as our financial results report and our quarterly operating supplement. The recorded replay of today's call will become available approximately two hours after the end of the call, and the information for accessing it was included in last night's press release and in the financial results report posted yesterday on the NBIA website. Now for our safe harbors disclosure statement. Our remarks on today's conference call may contain forward-looking statements. Important factors such as general market conditions and the competitive environment could cause our actual results to differ materially from the projected results referenced in our forward-looking statements. Risk factors are detailed in our 10-K, which is available on our website at NBIA.com. Company cautions not to place undue reliance on any such forward-looking statements. Company also undertakes no obligation to publicly correct or update any forward-looking statement if it later becomes aware that such statement is no longer accurate. For our call today, Bill Fallon and Anthony McKiernan will provide introductory comments, and then a question and answer session will follow. Now, here is Bill Fallon. Thanks, Greg.

Good morning, everyone. Thank you for being with us today. As I reported last quarter, we have hired Barclays as an advisor to help us explore potential strategic opportunities for the company, and that process remains ongoing. Our assessment of the alternatives will be deliberate and guided by our determination to create value for our shareholders while also meeting all obligations to policyholders. As I noted last quarter, we do not intend to disclose further developments regarding this process unless and until we determine that further disclosure is appropriate or necessary. Additionally, no specific outcome can be guaranteed. Since our last conference call, the plan of adjustment to restructure the debt of the Puerto Rico Highways and Transportation Authority, or HTA, was confirmed and implemented and national extinguished its insured exposure of HTA bonds. National's last remaining significant Puerto Rico exposure is PREPA. In December, National reached an agreement in principle with the Puerto Rico Oversight and Management Board regarding PREPA's proposed plan of adjustment. That agreement resulted in National entering into a plan support agreement that, among other things, provided for the consensual resolution of the treatment of claims held by National related to insured PREPA revenue bonds in PREP's amended plan of adjustment. The PSA remains subject to a number of conditions, including, but not limited to, the Title III Court's approval of the amended plan of adjustment and confirmation and effectiveness of such amended plan. As of December 31st, National's remaining exposure to PREP is approximately $710 million of gross par insured. Turning to National's other insured credits, the insured portfolio has continued to perform consistent with our expectations. National's insured portfolio has continued to run off as its outstanding gross part declined by $4.8 billion from year end 2021 to approximately $32 billion at December 31st, 2022. National's leverage ratio of gross part of statutory capital declined to 16 to 1 at the end of 2022, down from 18 to 1 at the end of 2021. As of December 31st, 2022, National had total claims paying resources of $2.4 billion and statutory capital and surplus of $1.9 billion. Now, Anthony will provide additional comments about our financial results.